Investors await adviser trigger to buy gold, survey finds

More than half of US individual investors would like to own “investment-grade” physical gold, but less than 2% do so, according to a survey published by Gold Bullion International (GBI).

The provider of physical precious metals investor services said 58% of the 1,000 individual US investors surveyed answered that they believed goldwas a good investment.

However, just 2% currently actually own physical gold defined as “investment-grade, institutional-quality gold”.

GBI said that the gap between the desire to own the metal, and actual holdings could be the result of a number of factors, including lack of understanding over how to invest, with a large number of respondents, 37%, saying they felt it was too difficult to purchase physical gold.

Over half, 51%, of respondents said they would own physical gold bars or coins if their financial adviser or another “trusted source” recommended it.

Steven Feldman, chief executive officer at GBI said: “Physical gold remains substantially under-owned, as it has previously been difficult to buy and largely misunderstood. Yet smart investors recognize that it has proven to be a critical part of a well diversified investment portfolio. Physical gold provides the type of financial protection that prudent investors should be seeking, especially with today’s macro-economic challenges.”